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Mohali: 23 out of 43 coconut vending sites fetch whopping ₹1.06 crore
Four vendors will be placed in Sector 68 and one vendor each in phases 3A, 4, 5, 7, 8, 8b, YPS Chowk, Sectors 66, 67,77,79,80 and at Sohana village
The Mohali municipal corporation (MC) earned a whopping revenue of ₹ 1.06 crores with the auction of a mere 23 sites out of 43 vending sites for the sale of coconut water in its first-ever auction for the sale of these sites at the MC office on Wednesday.
Nearly seven months after the expiry of the previous tender on February 28, the MC invited fresh tenders for allotment of 43 vending sites for the sale of coconut water from which, the civic body had earned only ₹72 lakh in the last two years. While there are three sites each in Phases 1 and 11, two sites each have been earmarked in Phases 2, 3b1, 3b2, 6, 9, 10, 7 and Sectors 70, 71, and 78.
Four vendors will be placed in Sector 68 and one vendor each in phases 3A, 4, 5, 7, 8, 8b, YPS Chowk, Sectors 66, 67,77,79,80 and at Sohana village.
Phase-11 site fetches ₹11.5 L
A coconut site in Phase 11 near a Gurdwara and Verka booth was auctioned for a maximum ₹11.5 lakh. A site in Phase 3b2 near Indus Hospital was auctioned for ₹7.5 lakh and a site in Phase 4 near a park was allotted for ₹6.10 lakh. MC will now hold another auction for 20 sites, which did not get any buyers on Wednesday, an officer said.
“For the first time, the sites were allotted through an auction held with a base price of ₹2 lakh. Around 30 participants showed interest in the auction of these sites and paid ₹20,000 participation fee. Those who got the sites will now have to pay ₹50,000 security along with 25% of the auctioned amount of the respective site within a week. They will pay 25% in each quarter to MC,” a senior MC officer said.
Earlier, these sites were allotted through a draw of lots. The MC had earned ₹28 lakh and ₹44 lakh in 2022 and 2023, respectively, through the draws. In 2022, the MC got takers for only 25 sites out of 43. In 2023, 31 sites were allotted through a draw of lots.
Previously, each vendor paid ₹72,000 advance, including three months rent ₹54,000 as a security fee, besides a month’s rent of ₹18,000 and GST to the civic body.
Now, the vendor will pay ₹ 95,000 per month for the Phase-11 site, which fetches the maximum amount. In a jolt to MC revenue, earlier vendors paying monthly fees to the MC stopped selling the coconuts and did not pay in yearly installments to the civic body. The MC following the loss, has fixed the base price to ₹2 lakh this year.
The coconut vendors will not be allowed to sell any other item. If they are caught selling any other stuff, at first, they will be warned and for the second time, they will be fined ₹5,000. In case of a repeat violation, their contract will be cancelled and the security amount will not be refunded, an MC official said.
MC commissioner T Benith said the auction for the remaining sites will be held soon after evaluating the capacity of these sites to earn profits. “We may consider shifting the sites but things will be clear after proper evaluation and planning with our team. We are happy with the result of the auction held on Wednesday,” he added.
